If you select this checkbox, the system applies the seasonality pattern of a seasonality group to the characteristic value combination (CVC) if the following applies:
You are using a non-seasonal forecast model
You have defined a seasonality group and the CVC is assigned to this group. You can assign a CVC to a group either implicitly by defining a seasonality group in Customizing for Advanced Planning and Optimization, under Supply Chain Planning -> Demand Planning (DP) -> Basic Settings -> Seasonality Groups -> Maintain Seasonality Groups which includes this CVC as well. You can also assign the CVC explicitly to a particular group on the SAP Easy Access screen, under Advanced Planning and Optimization -> Demand Planning -> Environment -> Assign Planning Objects to Seasonality Groups, if the CVC is not otherwise included in any other group.
The characteristic value combination is assigned exactly to one group. In case the CVC belongs to multiple groups, the system issues a warning message and the group seasonal pattern is not used.
In case all the above conditions are met, the system determines the seasonal pattern on the group level and applies this pattern to the CVC being forecasted. If in the univariate forecast profile, in the Model Parameters screen area, in the Forecast Strategy field, you specify a seasonal forecast strategy, and in the Periods (Number of Periods per Seasonal Cycle) field, you specify the number of periods, the system takes that value for pattern calculation. Otherwise, it uses a default cycle length which is the number of periods in 1 year (for example, in the case of weekly forecasting, this is 52).
Hierarchy 
SAP_BW (Software Component) SAP Business Warehouse
SCM-BAS (Application Component) SCM Basis
/SAPAPO/SCMB_FORECAST (Package) Forecast
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